According to a recent survey the loyalty between client and service providers is lower than any other sector at just six percent.
This is a slight cause for concern as there seems to be lack of understanding of the importance on the need for clear communication and strong relationship management from both sides.
Some of the difficult factors highlighted included the level of margins that contracts are won at as this can lead to a poor relationship from the offset, and the fact that account managers move on too quickly therefore not giving the client the time to build up a relationship with the service provider.
Although the smaller companies seem to have more loyalty and trust from their clients, the larger service providers are aware of the issues and doing what they can to ensure that their retention rate for clients is as high as possible with some service providers having a retention rate as high as 90%.
It will be interesting to see over the next year what improvements can be made for clients to regain their trust in service providers. Surely building up clear communication lines between both parties which leads to strong relationships isn’t difficult?